Is JPMorgan Chase & Co. (JPM) the Best Dow Stock?

We recently published a list of The Best and Worst Dow Stocks. In this article, we are going to take a look at where JPMorgan Chase & Co. (NYSE:JPM) stands against other Dow stocks.

The Dow Jones Industrial Average is a benchmark index of the top 30 companies in the US. It represents the strength of the US economy and carries great historical significance as well.

It also acts as a reference point for analysts and investors. However, not all stocks within this elite group of companies perform equally. While some thrive on innovation and economic boom, others struggle due to various setbacks and economic trends.

We decided to break down the index and find out the best and worst stocks, looking at what was making them perform unexpectedly this year.

Methodology

In order to come up with our ranking of the best and worst Dow stocks, we first assigned a rank to each stock based on the number of hedge funds holding the stock. We then looked at the short interest in each stock and assigned the top rank to the company with the least short interest.

We then combined the two ranks to see which stock was the best on average. The list is in ascending order, with the best stock taking the number one spot.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Is JPMorgan Chase & Co. (JPM) the Best Dow Stock?

A group of business people discussing plans around a boardroom table adorned with a financial services company logo.

JPMorgan Chase & Co. (NYSE:JPM)

Number of Hedge Fund Holders: 123

Short Interest as of Apr 30, 2025: 0.97%

JPMorgan Chase & Co. (NYSE:JPM) is a financial services company. The company operates in Asset & Wealth Management, Commercial & Investment Banking, and Consumer & Community Banking segments.

The banking giant recently disclosed that it was planning to expand its presence in San Francisco. As per the announcement, the firm will renovate its local offices at One Front Street and 560 Mission Street. By the end of 2025, the company also plans to open six financial centers throughout the San Francisco Bay Area.

Over a month ago, JPMorgan Chase & Co. (NYSE:JPM) expanded its multi-year agreement with Affirm. With this partnership,  J.P. Morgan Payments’ merchants will gain access to Affirm’s solutions. It will provide customers the opportunity to go through an eligibility check, choose from customized payment options, and select Affirm as a payment method.

After its earnings report, the bank also reiterated its FY 2025 financial guidance. As per the guidance, Net Interest Income (NII) excluding markets is projected to be approximately $90 billion. With the expected card net charge-off rate of about 3.6%, the company’s adjusted expense guidance remains at $95 billion.

Overall, JPM ranks 5th on our list of best and worst Dow stocks. While we acknowledge the potential of JPM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than JPM but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.